FLORIDA SOD GROWERS PROTECTED BY NEW LAW
The Florida License and Bond Law was enacted in 1941 to provide market protection to producers of perishable agricultural commodities. Basically, it says that if you wish to be a buyer of one or more of the commodities, you must be licensed and bonded. If the buyer failed to meet the conditions of the sale, notably making payment, the seller could file a complaint with the Florida Department of Agriculture and Consumer Services. The Department would then investigate the complaint and determine if the seller could file against the buyer’s bond.
The Florida legislature made changes to the law this year. It now includes sod in the definition of agricultural products. Florida growers anticipate that they will now have a new tool to deal with the problem of collection of bad debts.
Licensed buyers are required to maintain a bond or certificate of deposit equal to twice the dollar amount of sod bought during the month of maximum transaction during the preceding 12-month period.
In addition, the Department maintains and distributes a list of those persons or businesses that have complaints filed against them. The Florida growers feel that this can help avoid selling to those persons and businesses. However, they also feel that they will have to work with some customers to help them become licensed and bonded.